I like the idea of having at least 4 - 6 months (I only have 4...) of living expenses in cash for emergencies, but the rest in diversified investments. (freemoneyfinance.com)
Peace of mind and further accumulation are two other reasons I would like to have three years of living expenses in cash when I retire. (guyonfire.us)
I would pay off debt, keep at least 6 mo living expenses in cash and then consider investing the rest. (biggerpockets.com)